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Kate's Mini-Mart uses a periodic review, order-up-to inventory model to manage inventory. For one of their more popular products, Tofu Jerky, Kate (the owner) insists

Kate's Mini-Mart uses a periodic review, order-up-to inventory model to manage inventory. For one of their more popular products, Tofu Jerky, Kate (the owner) insists on maintaining a 80% cycle service level. Kate buys Tofu Jerky for $1.00 per pack and it sells for $3.50. It costs Kate $0.10 per pack per week to hold inventory. The supplier has a 2 week lead time (with no randomness). Average demand is expected to be 30 per week. Standard deviation of forecast errors is expected to be 6. (Please

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